REPORT: The SEC Has Opened An Inquiry Into Herbalife

Following the news, Herbalife sold down sharply, more than $3 to
hit a low of $36.28 after trading at $40.58. Since then, it has
bounced to above $40 a share.

Hedge fund titan Bill Ackman, the founder of Pershing Square Capital Management, revealed last month
that he has a massive short position in Herbalife -- a
multi-level marketing company he says is a pyramid scheme.

Today, Dan Loeb, the founder of Third Point, disclosed a massive
long position in Herbalife. Third Point has 8,900,000
shares, or an 8.24% stake in the company.